This tremendous imbalance is not the result of genuine Chinese comparative or competitive advantage, nor even lower commodity-based manufacturing costs in China. Rather, it is emblematic of a wide and indeed growing range of “innovation mercantilist” policies that seek to advantage indigenous Chinese enterprises at the expense of American ones. As ITIF writes in ...

The incorporation of a range of innovations, from smart sensors, mobile computing and cloud technology, is transforming the electric grid and providing tremendous opportunities to reduce emissions and cut costs for both producers and consumers. However, for the "Smart Grid" to become a reality numerous technical and policy challenges need to be addressed to enhance implementation and insure...

If tariff and investment restrictions were fully eliminated and standards of IP protection were made comparable to U.S. and Western European levels, U.S. exports to India would rise by two-thirds, and U.S. investment in India would roughly double.

Connected cars—those that can interact with the surrounding transportation infrastructure as well as with other vehicles—and the technologies underpinning them could become the next technology juggernaut. More than 2 million automobiles already have such connectivity features, and these intelligent, connected vehicles are poised to deliver even more significant safety,...

Most genetically modified crops in commercial production today have been improved either to resist insect pests without pesticide sprays, or to tolerate herbicides for superior weed control. European researchers recently reviewed the scientific literature on the impacts of biotech improved crops and found that weed control traits led to a 9 percent increase in yield over competing...

As the U.S. economy evolves and globalizes, top industries are becoming less focused on extracting and working with raw materials and more focused on knowledge industries, traded services, and information and communication technologies. As a result, a highly skilled workforce is more important than ever, as top companies increasingly invest in human rather than physical capital.

Mercantilism is spreading in part because some mercantilist practices actually do work and help these countries—at least in the short term. China’s mercantilist practices have clearly been the principal factor in enabling it to generate enormous trade surpluses. For example, China’s share of world exports jumped from 7 percent to 10 percent between 2006 and 2010. As a result,the Beijing...

In the last few years we have seen rapid innovation in the mobile and digital payments markets. New competition has continued to evolve in this space from digital payment firms like Square and PayPal, culminating this month in Apple’s announcement for ApplePay. In the next few years we will see increased adoption of mobile wallets and online payments as consumers get used to using their phones...

A serious decline in U.S. triadic patents is the latest warning sign of diminished American innovation in advanced industries. Overall, these patents, designed to give the holder strong intellectual property protections worldwide and to make patents internationally comparable, have declined by 3 percent from 1999 to 2011.